(a) Date and Requirement for Filing.
(1) The Tax Commissioner shall accept a generic form of any return, report, or document required to be filed if the generic form once completed and filed, contains all of the information required to be submitted with the Municipality's prescribed returns, reports or documents, and if the taxpayer or return preparer filing the generic form otherwise complies with the rules or ordinances of the Municipality.
(2) The return shall be accompanied by payment of any taxes due thereon.
(3) Every person subject to the provisions of Section 171.03 shall, except as hereinafter provided, file a return setting forth the aggregate amount of salaries, wages, commissions and other personal service compensation, net profits from business or other activities, including the rental from use of real and personal property, distributive shares from partnerships, other income taxable under Chapter 171, received for the period covered by the return and such other pertinent facts and information in detail as the Tax Commissioner may require.
(4) Where an employee's entire earnings for the tax period are paid by an employer or employers, and the tax thereon has in each instance been withheld and deducted by the employer or employers from the gross amount of the entire earnings of such employee-taxpayer, and where the employer of such employee has filed a report or return in which such employee's entire and only earnings are reported to the Tax Commissioner, and where such employee has no taxable income other than such earnings and the tax so withheld has been paid to the Tax Commissioner, such employee need not file a return.
(5) An employee who is permitted to deduct business expenses from qualifying wages, commissions, other compensation, and other taxable income shall file a return in order to claim such deductions even though all or part of such qualifying wages, commissions, other compensation, and other taxable income are subject to withholding.
(6) Except as provided for herein, the tax is on the partnership or association as an entity whether resident or nonresident and a return is required disclosing the net profits apportioned to the Municipality and the tax paid thereon. However, any resident partner is required to make a return and pay the tax in accordance with these Rules and Regulations if a Municipal tax is due.
(7) Any taxpayer who received taxable income not subject to withholding under this chapter must file a return.
(8) An employer shall withhold the tax on the full amount of any advances made to an employee on account of commissions.
(9) Executors and administrators are liable for the payment of any taxes due by a deceased from an estate of such deceased.
(10) With respect to a return combining taxable income from two or more sources, the following rules shall be applied:
A. Losses from the operation of a business or profession are not deductible from employee earnings but may be carried forward as set forth in Section 171.03(d).
B. A loss from the operation of a business or profession may be offset against net profits from other business or professional activities in the amount of the loss commensurate with the portion of profits, if profits existed, with respect to which credit could not be claimed for tax paid to another municipality. Accordingly, if the profits of an activity are subject to tax by another municipality, the portion of a loss that may not be used to offset profits is determined by multiplying the loss by a fraction, the numerator being either the tax rate of the other taxing municipality or the percentage rate to which credit for tax paid to another municipality is limited, whichever is the lesser, and the denominator being the existing Municipality tax rate. Any unused loss, or portion thereof, allowable for offset as determined in this manner, may be carried forward as set forth in Section 171.22(c).
C. Losses from the operation of a farm, determined in accordance with accounting methods used by taxpayer for federal income tax purposes, shall be allowable as an offset to net profit as set forth herein.
(b) Information Required and Reconciliation with Federal Returns.
(1) In returns filed hereunder, there shall be set forth the aggregate amount of salaries, wages, bonuses, incentive payments, commissions, fees and other compensation subject to the tax earned from each employer, taxable net profits and other pertinent information as the Tax Commissioner may require.
(2) Where figures of total income, deductions and net profits are included, as shown by a federal return, any items of income which are not subject to the tax and unallowable expenses shall be eliminated in determining net income subject to the tax. The fact that any taxpayer is not required to file a federal return does not relieve him from filing a tax return under Chapter 171.
(3) If a change in federal income tax liability made by the Internal Revenue Service or by a judicial decision results in an additional amount of tax payable to the Municipality, a report of such change shall be filed by the taxpayer within three (3) months after receipt of the final notice from the Internal Revenue Service or final court decision.
(4) If a change in federal income tax liability results in a reduction of taxes owed and paid to the Municipality, a claim for refund shall be filed with the Tax Commissioner as prescribed in Section 171.11.
(Ord. 2006-70. Passed 12-14-06.)